BILL NUMBER: SB 1843	CHAPTERED  09/01/00

	CHAPTER   286
	FILED WITH SECRETARY OF STATE   SEPTEMBER 1, 2000
	APPROVED BY GOVERNOR   AUGUST 31, 2000
	PASSED THE SENATE   AUGUST 22, 2000
	PASSED THE ASSEMBLY   AUGUST 18, 2000
	AMENDED IN ASSEMBLY   JUNE 27, 2000
	AMENDED IN SENATE   MARCH 27, 2000

INTRODUCED BY   Senator Solis
   (Principal coauthor: Assembly Member Kuehl)

                        FEBRUARY 24, 2000

   An act to amend Section 56045 of, and to add Article 8 (commencing
with Section 56845) to Chapter 7.2 of Part 30 of, the Education
Code, relating to special education.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 1843, Solis.  Special education.
   (1) Existing law prohibits state funds from being allocated to
offset any federal funding intended for individuals with exceptional
needs and withheld from a local educational agency due to the agency'
s noncompliance with federal law.
   This bill would authorize the Superintendent of Public Instruction
to withhold, in whole or in part, state funds or federal funds
allocated under the Individuals with Disabilities Education Act from
a district, special education local plan area, or county office after
reasonable notice and opportunity for a hearing if the
superintendent makes certain findings regarding noncompliance with
state and federal law on special education and failure to implement
the decision of a due process hearing officer regarding noncompliance
with state or federal law on special education.  The bill would
authorize the superintendent to apportion the state or federal funds
withheld if the superintendent determines substantial progress toward
compliance is being made.  The bill would exempt the State
Department of Education from laws regarding public contracts in order
to enter into contracts with local education agencies to serve
certain individuals with special needs.
   (2) Existing law requires the Superintendent of Public Instruction
to send a notice to each member of the governing board of a local
education agency within 30 days of the superintendent's receipt of
notification by the federal government that a local education agency
is not in compliance with the Individuals with Disabilities Education
Act or Section 504 of the Rehabilitation Act of 1973, or when the
superintendent determines that the local educational agency is not in
substantial compliance with any provision of this part.
   This bill would require that the notice be sent to the governing
board of each local education agency instead of to each member of
that board and would require the notice to be sent when the
superintendent determines a local education agency is substantially
out of compliance with one or more significant provisions of state or
federal law regarding special education or their implementing
regulations, fails to comply substantially with corrective action
orders issued by the department resulting from focused monitoring
findings or complaint investigations, or fails to implement the
decision of a due process hearing officer for noncompliance with the
law, which noncompliance results in the denial of, or impedes the
delivery of, a free and appropriate public education for an
individual with exceptional needs.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  Section 56045 of the Education Code is amended to read:

   56045.  (a) The superintendent shall send a notice to the
governing board of each local education agency within 30 days of when
the superintendent determines any of the following:
   (1) The district, special education local plan area, or county
office is substantially out of compliance with one or more
significant provisions of this part, its implementing regulations,
provisions of the Individuals with Disabilities Education Act ( 20
U.S.C. Sec. 1400 et seq.), or its implementing regulations.
   (2) The district, special education local plan area, or county
office fails to comply substantially with corrective action orders
issued by the department resulting from focused monitoring findings
or complaint investigations.
   (3) The district, special education local plan area, or county
office fails to implement the decision of a due process hearing
officer for noncompliance with provisions of this part, its
implementing regulations, provisions of the Individuals with
Disabilities Education Act ( 20 U.S.C.  Sec.  1400 et seq.), or its
implementing regulations, which noncompliance results in the denial
of, or impedes the delivery of, a free and appropriate public
education for an individual with exceptional needs.
   (b) The notice shall provide a description of the special
education and related services that are required by law and with
which the district, special education local plan area, or county
office is not in compliance.
   (c) Upon receipt of the notification sent pursuant to subdivision
(a), the governing board shall at a regularly scheduled public
hearing address the issue of noncompliance.
  SEC. 2.  Article 8 (commencing with Section 56845) is added to
Chapter 7.2 of Part 30 of the Education Code, to read:

      Article 8.  Withholding of Payments

   56845.  (a) The superintendent may withhold, in whole or in part,
state funds or federal funds allocated under the Individuals with
Disabilities Education Act (20 U.S.C. Sec. 1400 et seq.) from a
district, special education local plan area, or county office after
reasonable notice and opportunity for a hearing if the superintendent
finds either of the following:
   (1) The district, special education local plan area, or county
office failed to comply substantially with a provision of state law,
federal law, or regulations governing the provision of special
education and related services to individuals with exceptional needs
which results in the failure to comply substantially with corrective
action orders issued by the department resulting from monitoring
findings or complaint investigations.
   (2) The district, special education local plan area, or county
office failed to implement the decision of a due process hearing
officer based on noncompliance with provisions of this part, its
implementing regulations, provisions of the Individuals with
Disabilities Education Act ( 20 U.S.C.  Sec.  1400 et seq.), or its
implementing regulations, which noncompliance results in the denial
of, or impedes the delivery of, a free and appropriate public
education for an individual with exceptional needs.
   (b) When the superintendent determines that a district, special
education local plan area, or county office made substantial progress
toward compliance with state law, federal law, or regulations
governing the provision of special education and related services to
individuals with exceptional needs, the superintendent may apportion
the state or federal funds withheld from the district, special
education local plan area, or county office.
   (c) Notwithstanding any other provision of law, state funds may
not be allocated to offset any federal funding intended for
individuals with exceptional needs, as defined in Section 56026, and
withheld from a local educational agency due to the agency's
noncompliance with state or federal law.
   (d) For purposes of this section, in order to enter into contracts
with one or more local education agencies to serve individuals with
exceptional needs who are not being served as required under this
part, the department is exempt from the requirements of Part 2
(commencing with Section 10100) of Division 2 of the Public Contract
Code and from the requirements of Article 6 (commencing with Section
999) of Chapter 6 of Division 4 of the Military and Veterans Code.
